Foxconn expects robust gross sales for the vacation quarter, Nov up 18%

iPhone assembler Foxconn had already predicted “vital development” in the course of the vacation quarter, however now says that October and November have been even stronger than anticipated.

The corporate informed buyers that its November income hit T$650 billion ($20.65 billion), the second highest on report for the month …

Some pessimistic stories

There have been some pessimistic iPhone 15 stories round. Bloomberg urged in October that iPhone 15 gross sales in China have been decrease than these of the iPhone 14 within the equal interval. Analyst Jeff Pu echoed this, noting that this had implications for world gross sales.

For Apple, this actually represents a danger. China accounted for 22% of whole iPhone shipments within the first half of 2023, making it one of the vital vital areas for the corporate.

However Apple says the issue is provide, not demand

Nonetheless, Apple painted a special image in its September earnings report – which included round every week’s value of iPhone 15 income. The iPhone maker reported considerably higher earnings than analysts had anticipated, together with a brand new report for iPhone.

The corporate stories $89.50 billion in income in the course of the three-month interval. Analysts anticipated income round $84.18 billion […]

CEO Tim Cook dinner mentioned: “At the moment Apple is happy to report a September quarter income report for iPhone and an all-time income report in Companies. We now have our strongest lineup of merchandise ever heading into the vacation season, together with the iPhone 15 lineup.”

Certainly, mentioned Apple, the issue was that it was struggling to satisfy demand, and that appeared to nonetheless be the case into early November.

Chatting with buyers and analysts right now, Apple CEO Tim Cook dinner and CFO Luca Maestri identified that the iPhone 15 Professional and iPhone 15 Professional Max are nonetheless going through provide constraints over a month after they have been first launched.

If you happen to head to Apple’s web site right now, you’ll discover that almost all iPhone 15 Professional and iPhone 15 Professional Max configurations are back-ordered by a number of weeks. Most of these configurations are additionally out of inventory for in-store pickup at Apple’s retail areas.

Apple mentioned that it anticipated to catch up within the vacation quarter.

Foxconn expects robust gross sales this quarter

Foxconn’s newest steering seems to assist Apple’s stance. India’s Financial Instances stories the corporate experiencing a powerful begin to the vacation quarter.

Foxconn mentioned in an announcement that with the second half of the 12 months being the standard peak season for the tech trade, income efficiency within the first two months of the fourth quarter had been barely larger than anticipated.

“Due to this fact, the outlook for the fourth quarter must be higher than the unique steering for ‘vital development’”, the corporate added.

Like Apple, Foxconn doesn’t provide particular numbers, nevertheless it did say that November income was up 18% year-on-year, the second highest ever earnings for the month.

9to5Mac’s Take

Foxconn shouldn’t be a precise proxy for Apple, because it performs contract manufacturing for a variety of client electronics firms. All the identical, the Cupertino firm accounts for round 50% of its income, so this does are likely to assist the extra optimistic view that the iPhone 15 line-up is promoting effectively globally, even when gross sales are considerably constrained in China.

Picture: Abhinaw Raj/Unsplash

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